Disney’s Image Declines Among Republicans and Democrats Due to Jimmy Kimmel Controversy
have been a rollercoaster of ups and downs, to say the least,” noted analyst James Heaney in a recent report. The controversy surrounding Disney began when the company decided to temporarily suspend Jimmy Kimmel’s show, which sparked a significant backlash from viewers across the political spectrum.
According to data from Morning Consult analyzed by Jefferies, sentiment and brand awareness for Disney and its streaming platform, Disney+, have taken a hit, reaching the lowest levels in at least two years. Both Democrats and Republicans showed a decline in their views of the company, with Democrats experiencing a more significant drop.
The decision to pull Kimmel off the air came after his comments about conservative activist Charlie Kirk stirred controversy, leading ABC to briefly suspend the show. This move was met with criticism from various groups, questioning Disney’s commitment to free speech and suggesting political motives behind the decision.
Adding fuel to the fire, Disney also announced a price increase for Disney+ subscriptions, further contributing to the negative sentiment surrounding the brand. Despite this, Heaney expressed optimism about the business prospects for Disney+, noting that the streaming platform’s brand awareness remained relatively stable compared to the overall Disney brand.
While Disney’s stock has dipped over the past month, Heaney maintains a positive outlook, reaffirming a buy rating and a price target that suggests potential upside in the future. Despite the recent controversies, the impact on Disney+ specifically may be limited, which could help mitigate any potential loss of streaming subscribers.
In conclusion, the recent events have undoubtedly been a PR challenge for Disney, but the company continues to navigate through the storm, with hopes of a brighter future on the horizon.